The Indian stock market, also known as Dalal Street, saw its third consecutive day of declines on Wednesday. This was largely due to investors being cautious ahead of the US Federal Reserve policy decision, which is expected to happen later tonight. The persistent weakness of the rupee against the US dollar and continued selling by overseas investors also added to the market's downward trend.
The Nifty 50 fell by 0.32% to 25,758, while the S&P BSE Sensex dropped 0.32% to 84,391 points. The Nifty Midcap 100 and Nifty Smallcap 100 indices also saw declines of nearly 1%.
Most sectoral indices closed lower, with Nifty Consumer Durables leading the losses at 1.7%. Other indices like Nifty IT, Nifty PSU Bank, Nifty Realty, and Nifty Auto also ended in the red. However, Nifty Media and Nifty Metal saw gains of 0.50% and 0.45%, respectively.
The US central bank is widely expected to cut rates by another 25 basis points at its final meeting of the year. This would bring the Federal Funds rate to 3.5%-3.75%. Experts believe the Fed will then take a more data-dependent stance.
US trade negotiators, led by Rick Switzer and Brendan Lynch, are set to arrive in India for two-day talks. This has raised hopes of a potential deal between the two countries.
Investors are advised to check with certified experts before making any investment decisions.
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